Part 9Special rules about settlements and trustees

Chapter 3Special rates for trustees' income

C1479Trustees' accumulated or discretionary income to be charged at special rates

1

This section applies if—

a

accumulated or discretionary income arises to the trustees of a settlement, and

b

the income does not arise under a F1charitable trust.

2

Income tax is charged on the income at the rates referred to in this section instead of at the rates which would otherwise apply (for which see Chapter 2 of Part 2 (rates at which income tax is charged)).

3

Income tax is charged on the income at the dividend trust rate so far as the income is dividend income.

4

Otherwise, income tax is charged on the income at the trust rate.

5

Section 488 disapplies this section in cases relating to F2Schedule 2 share incentive plans.